EPH European Property Holdings has acquired the Hotel Innside Dresden, part of Mélia Hotels International, for an undisclosed fee, from Norpexal Holding & Fibona.
The 180-room site was EPH’s second hotel acquisition in 2020, after completing the acquisition of nhow Hotel in Berlin in April 2020.
The current lease runs until December 2029, with two five-year extension options.
George Kachmazov, managing partner,Tranio, which brokered the deal, said: "The hotel a high-quality asset in a prime location with a good tourist flow and a strong brand of the operator. This is a good off-market deal. This acquisition is a positive signal of market recovery. I think that the German hotel market will be one of the first to recover from the consequences of the coronacrisis: this will be facilitated by cheap leverage and active support from the government.”
In 2019, Dresden saw GDP growth of 1.2% compared to the German national average growth of 0.6%. The city is a popular tourist destination in Germany both for domestic and international visitors, due to its extensive amenities and architecture ranging from a beautiful, historic city centre to its baroque churches and museums. In 2019, Dresden recorded 2.3 million arrivals and 4.7 million overnight stays, an increase of 3.1% and 1.6% respectively on the previous year.